Commerce Exam  >  Commerce Questions  >   Directions: In the following questions, a st... Start Learning for Free
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:
Assertion (A): Small Scale Industries face a shortage of capital.
Reason (R): The government is reluctant in providing them any assistance and loans.
  • a)
    Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).
  • b)
    Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
  • c)
    Assertion (A) is true but reason (R) is false.
  • d)
    Assertion (A) is false but reason (R) is true.
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
Directions: In the following questions, a statement of assertion (A) ...
Assertion (A): Small Scale Industries face a shortage of capital.

Reason (R): The government is reluctant in providing them any assistance and loans.

Explanation:
Small Scale Industries (SSI) often face a shortage of capital due to various reasons. Let's analyze the given assertion and reason to determine their accuracy and relationship.

Assertion (A) is true:
Small Scale Industries generally face a shortage of capital. This is because they have limited financial resources and often struggle to raise sufficient funds for their operations and expansion. They may not have access to traditional sources of financing, such as banks and financial institutions, which prefer to lend to larger businesses with more collateral and established track records. As a result, SSIs often rely on personal savings, informal credit sources, or high-interest loans, which may not be sufficient or cost-effective.

Reason (R) is false:
The reason provided in (R) states that the government is reluctant in providing assistance and loans to small scale industries. However, this reason is not entirely accurate. In reality, the government recognizes the importance of SSIs in promoting economic growth, generating employment, and fostering entrepreneurship. To support and encourage the growth of SSIs, governments at various levels (central, state, and local) have implemented several schemes, policies, and programs.

These initiatives aim to provide financial assistance, such as subsidies, grants, and loans, to small scale industries. The government has established specialized institutions like Small Industries Development Bank of India (SIDBI) and National Small Industries Corporation (NSIC) to facilitate financial support and other services for SSIs. Additionally, the government has launched schemes like the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) to provide collateral-free credit to SSIs.

Therefore, the reason provided in (R) is not accurate as the government actively supports SSIs by providing financial assistance and loans.

Conclusion:
Based on the analysis, we can conclude that while the assertion (A) is true, the reason (R) is false. The government is actively involved in providing assistance and loans to small scale industries to overcome their capital shortage. Hence, option 'c' is the correct answer.
Free Test
Community Answer
Directions: In the following questions, a statement of assertion (A) ...
The NSIC provides financial aid to procure raw materials, for activities in relation to marketing and for financing with banks through syndication to MSMEs.
Attention Commerce Students!
To make sure you are not studying endlessly, EduRev has designed Commerce study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in Commerce.
Explore Courses for Commerce exam

Top Courses for Commerce

Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer?
Question Description
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer?.
Solutions for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for Commerce. Download more important topics, notes, lectures and mock test series for Commerce Exam by signing up for free.
Here you can find the meaning of Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer?, a detailed solution for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Small Scale Industries face a shortage of capital.Reason (R): The government is reluctant in providing them any assistance and loans.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice Commerce tests.
Explore Courses for Commerce exam

Top Courses for Commerce

Explore Courses
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev